US Laws, Codes, Statutes & Cases

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 7
                                 INVESTMENTS
    41-730.  DISPOSAL OF INELIGIBLE PROPERTY AND SECURITIES. (1) Any personal
property or securities lawfully acquired by an insurer which it could not
otherwise have invested in or loaned its funds upon at the time of such
acquisition, shall be disposed of by the insurer within one (1) year from date
of acquisition, unless within such period the security has attained to the
standard for eligibility. The director, upon application and proof that forced
sale of any such property or security would be against the best interests of
the insurer, may extend the disposal period for an additional reasonable time.
    (2)  While any such property or security remains so ineligible it shall
not be allowed as an asset of the insurer.
    (3)  Any ineligible property or security unlawfully acquired by an insurer
shall be disposed of forthwith, and for failure so to do within thirty (30)
days after order of the director requiring such disposal, the director may
suspend or revoke the insurer's certificate of authority.
    (4)  For the purposes of subsection (3) above, an investment otherwise
eligible shall not be deemed ineligible for the reason that it is in excess of
the amount permitted under this chapter to be invested in the category of
investments to which it belongs; and any such excess investment shall be
disposed of within the time prescribed in subsection (1) of this section.